Van Berkom & Associates Inc. Purchases 20,771 Shares of Federal Signal Corporation (NYSE:FSS)

Key Points

• Van Berkom & Associates Inc. increased its stake in Federal Signal Corporation by 2.0%, acquiring an additional 20,771 shares, making it the 17th largest holding for the firm.
• Federal Signal recently declared a quarterly dividend of $0.14 per share, with a payout ratio of 16.37%, indicating a strong commitment to returning value to shareholders.
• Analysts have set a price target for Federal Signal, with Raymond James suggesting a target of $120.00 and DA Davidson raising their target to $100.00, reflecting positive outlook on the stock's performance.

Van Berkom & Associates Inc. boosted its stake in shares of Federal Signal Corporation (NYSE:FSS - Free Report) by 2.0% in the 1st quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The institutional investor owned 1,045,565 shares of the conglomerate's stock after acquiring an additional 20,771 shares during the quarter. Federal Signal accounts for 2.5% of Van Berkom & Associates Inc.'s portfolio, making the stock its 17th largest position. Van Berkom & Associates Inc. owned about 1.71% of Federal Signal worth $76,901,000 as of its most recent filing with the Securities and Exchange Commission (SEC).

Other hedge funds have also recently bought and sold shares of the company. Opal Wealth Advisors LLC acquired a new position in Federal Signal during the first quarter worth $29,000. Bessemer Group Inc. grew its holdings in shares of Federal Signal by 78.4% during the first quarter. Bessemer Group Inc. now owns 421 shares of the conglomerate's stock worth $31,000 after purchasing an additional 185 shares during the last quarter. Harbor Investment Advisory LLC grew its holdings in shares of Federal Signal by 201.8% during the first quarter. Harbor Investment Advisory LLC now owns 658 shares of the conglomerate's stock worth $48,000 after purchasing an additional 440 shares during the last quarter. CoreCap Advisors LLC grew its holdings in shares of Federal Signal by 19.9% during the fourth quarter. CoreCap Advisors LLC now owns 875 shares of the conglomerate's stock worth $81,000 after purchasing an additional 145 shares during the last quarter. Finally, Creative Financial Designs Inc. ADV grew its holdings in shares of Federal Signal by 16.9% during the first quarter. Creative Financial Designs Inc. ADV now owns 1,119 shares of the conglomerate's stock worth $82,000 after purchasing an additional 162 shares during the last quarter. 92.73% of the stock is currently owned by institutional investors and hedge funds.

Analyst Upgrades and Downgrades

Several equities analysts recently issued reports on the company. Raymond James Financial set a $120.00 price target on Federal Signal and gave the company an "outperform" rating in a report on Monday, June 30th. KeyCorp reiterated a "sector weight" rating on shares of Federal Signal in a report on Friday, July 11th. Finally, DA Davidson raised their price target on Federal Signal from $96.00 to $100.00 and gave the company a "neutral" rating in a report on Tuesday, July 22nd.

Federal Signal Stock Performance

Shares of FSS stock traded up $22.47 during trading on Wednesday, reaching $127.33. 1,343,087 shares of the company's stock were exchanged, compared to its average volume of 565,927. The firm's fifty day moving average price is $103.28 and its 200-day moving average price is $91.86. The stock has a market capitalization of $7.76 billion, a PE ratio of 37.35, a PEG ratio of 2.34 and a beta of 1.27. Federal Signal Corporation has a twelve month low of $66.47 and a twelve month high of $128.50. The company has a quick ratio of 1.09, a current ratio of 2.39 and a debt-to-equity ratio of 0.22.

Federal Signal (NYSE:FSS - Get Free Report) last released its earnings results on Wednesday, July 30th. The conglomerate reported $1.17 earnings per share for the quarter, beating analysts' consensus estimates of $1.06 by $0.11. Federal Signal had a return on equity of 18.44% and a net margin of 11.10%. During the same quarter in the prior year, the business posted $0.95 earnings per share. The company's quarterly revenue was up 15.1% on a year-over-year basis. As a group, sell-side analysts anticipate that Federal Signal Corporation will post 3.34 EPS for the current year.

Federal Signal Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Thursday, August 28th. Shareholders of record on Friday, August 15th will be issued a $0.14 dividend. The ex-dividend date of this dividend is Friday, August 15th. This represents a $0.56 dividend on an annualized basis and a yield of 0.44%. Federal Signal's payout ratio is presently 16.37%.

Federal Signal announced that its Board of Directors has authorized a stock repurchase plan on Tuesday, April 22nd that authorizes the company to repurchase $150.00 million in shares. This repurchase authorization authorizes the conglomerate to buy up to 3.3% of its shares through open market purchases. Shares repurchase plans are typically an indication that the company's management believes its stock is undervalued.

About Federal Signal

Federal Signal Corp. engages in the design and manufacture of products and integrated solutions for municipal, governmental, industrial, and commercial customers. It operates through the Environmental Solutions Group and Safety and Security Systems Group segments. The Environment Solutions Group segment is involved in the manufacture and supply of street sweeper vehicles, sewer cleaners, vacuum loader trucks, hydro-excavation trucks, and water blasting equipment.